Tieto TIETO.HE
FinlandTechnology · Information Technology ServicesNasdaq Helsinki · EUR
19.00 EUR (+2.8%)
8 analysts
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Tieto Corporation is a Finnish information technology (IT) services company offering software solutions, consulting, and managed services to public and private sector clients, primarily in the Nordic countries.
Listed on Nasdaq Helsinki · Symbol TIETO.HE · HEL: TIETO · Currency EUR
Key points
from its scores- ✓Attractive valuation8.7
- ✓Good share-price trend8.5
- ✓Favourable backdrop7.9
- ✕Weak growth2.1
AI analysis
bottom line, main risk, context and newsQuality and valuation are solid, but negative revenue growth justifies waiting to see stabilization before increasing the position.
Tieto presents an attractive combination of valuation (P/E 9.83, FCF yield 21.15%) and high profitability (ROE 21.09%, ROIC 26.96%), with a healthy balance sheet (ND/EBITDA 1.08) and a sustainable dividend of 4.05%. The main drag is negative revenue growth (-7.90%), which limits the potential for short-term re-rating.
The main risk is the persistence of negative revenue growth (-7.90%), which could indicate a loss of competitiveness or a contraction in demand in its Nordic market, eroding business quality in the medium term.
Context and risks
No relevant recent news. The macro context of rising US rates and a stronger dollar does not materially affect Tieto: it is a Finnish IT services company with moderate debt (ND/EBITDA of 1.08) and no relevant exposure to commodities or conflict shipping routes. Its IT services business carries low geopolitical and regulatory risk.
Is Tieto stock cheap or expensive?
at the analysis dateOn P/E and EV / EBITDA, it trades 67% below the Technology median on average.
| Multiple | Company | Sector | Difference |
|---|---|---|---|
| P/E | 9.8 | 31.3 | −69% |
| EV / EBITDA | 7.2 | 20.4 | −65% |
| Price / book | 1.9 | 6.3 | −69% |
| Price / sales | 1.1 | 5.3 | −79% |
Sector: median of the 283 Technology companies analysed. In bold, the multiples used for the comparison.
Valuation score: 8.7 out of 10 (median for Technology: 5.3).
Average analyst target: 19.00 EUR, +2.8% versus the price.
A discount may reflect more risk or slower growth than its sector: Financial health 6.9 (sector 6.9), Growth 2.1 (sector 7.5).
Classic formulas with standard assumptions (0.0% growth, 8-9% discount rate). Indicative only: they change a lot with the assumptions and are not a recommendation.
Work out its fair value yourself →How much would you have made investing every month? →
Comparing it with its sector does not say whether it is a good buy: this is not investment advice.
Score by category
0 to 10 · hover overtap each one to see what it measuresKey metrics
at the analysis date · compared with the Technology medianValuation
- P/E
- 9.8
- Forward P/E
- 10.8
- EV / EBITDA
- 7.2
- Price / book
- 1.9
- Price / sales
- 1.1
- PEG
- 1.10
- Market cap
- 2.0B EUR
- Enterprise value
- 2.5B EUR
Profitability
- ROE
- 21.1%
- ROA
- 7.4%
- ROIC (approx.)
- 27.0%
- Gross margin
- 23.4%
- Operating margin
- 26.3%
- Net margin
- 6.7%
- Free cash flow
- 427.4M EUR
- FCF yield
- 21.1%
- Cash conversion
- 123%
Solvency
- Total debt
- 700.8M EUR
- Net debt
- 374.5M EUR
- Cash
- 326.3M EUR
- EBITDA
- 346.6M EUR
- Net debt / EBITDA
- 1.08
- Debt / equity
- 64.41
- Current ratio
- 1.24
- Quick ratio
- 1.23
Growth
- Revenue growth
- −7.9%
- EPS (TTM)
- 1.88 EUR
- EPS (forward)
- 1.72 EUR
Dividend
- Dividend yield
- 4.8%
- Payout
- 63.3%
Risk and market
- Beta
- 0.69
- Analyst consensus
- Buy (8)
- Target price
- 19.00 EUR
- 52-week range
- 15.28 – 21.86
Recent news
All TIETO.HE news →Compare it with its sector
All 283 in Technology →Frequently asked questions about Tieto
Is Tieto stock cheap or expensive?
On P/E and EV / EBITDA, it trades 67% below the Technology median on average. Valuation score: 8.7 out of 10 (median for Technology: 5.3). Average analyst target: 19.00 EUR, +2.8% versus the price. This is not investment advice.
What score does Tieto get on MeridIAn Screener?
It scores 6.9 out of 10, rank 293 of 2,130 (better than 86% of the companies analysed). Its strongest category is Valuation (8.7) and its weakest, Growth (2.1). Analysis of 08/10/2026.
What is Tieto's P/E ratio?
Its P/E is 9.8: the share price equals 9.8 times earnings per share over the last 12 months. The Technology median is 31.3. Based on the earnings analysts expect, the forward P/E is 10.8.
How much is Tieto worth on the stock market?
Its market capitalisation is 2.0B EUR and its enterprise value, debt included, is 2.5B EUR.
How much debt does Tieto have?
Its net debt (debt minus cash) is 374.5M EUR. That is 1.08 times its EBITDA; the Technology median is 0.20.
Does Tieto pay a dividend?
Yes: its dividend yield is 4.76% and it pays out 63% of its earnings.
How has Tieto stock performed over the last year?
It has risen 26.1% over the last year, excluding dividends. Over the last 52 weeks it has traded between 15.28 and 21.86 EUR. Past performance does not guarantee future results.
What do analysts think of Tieto?
8 analysts cover it; their average recommendation is “Buy” and their average target is 19.00 EUR (+2.8% versus the price). It is an estimate, not market data.